According to a report by Business Insider, a blog publication for Hanely Wood, Santa Fe is expected to be one of the country’s 15 best housing market’s over the next five years. Being a tried and true Santa Fean, I  know the long term benefits and allure to living in Santa Fe so I am not surprised our market should do well.  Here is a link to the article — I think you will find it intriguing.

Santa Fe, New Mexico -  A Retirement Haven  -  As Reported in Smart Money Magazine

In a recent Smart Money article by Cathy Hill, Santa Fe, New Mexico was chosen as an underrated retirement jewel that is “relatively affordable, delightful, and full or opportunities to work and play.”   Of course, those of us that live here already know the secret and are delighted the word is getting out!    As for relatively affordable, Santa Fe real estate is full of  amazing values with prices down to levels not seen since the late 1990′s in many cases.  From vacation condominiums to historic Santa Fe style estates, this is a great time to buy!

To read the Smart Money article click here

Santa Fe, NM

This completely renovated adobe home is situated on historic Upper Canyon Road , an area known for its country feel although it is still in town.  With three bedroom and 2 1/2 baths, this home appeals to today’s lifestyles with its open floor plan,  beautiful cook’s kitchen,  spacious master suite, cozy fireplaces, and outdoor patio.  This is truly a Santa Fe gem!

Click on the virtual tour below for a quick look!

Click Here

Its been a hot summer in Santa Fe and our dog Ellie knows how to handle the heat!   Click here to see how a heeler cools her heels!    http://www.youtube.com/watch?v=8ulC2PCb6wc.   Have a great weekend!

Santa Fe Real Estate Market Update

August 4th, 2010

Bloomberg reported today that Fiserv and Moody’s Economy.com expect Santa Fe prices to increase 25.8% by 2014!    Click on the link below for more…….

http://tinyurl.com/2do94mw

[flashvideo file=http://moothorpeblog.com/santafe.mp4 /]

Selling a home is so much more than putting a sign in the yard or plopping it on the MLS. Educating yourself on how the process works will prevent the anxiety that often accompanies selling a home/property and will give you peace of mind in the process.

The formula for selling your home/property for the best price in a shortest amount of time:

Proper Pricing

+ High Quality Advertising

+ Agent Networking

+ Exposure

+ Open Houses

SOLD!

The Pricing Dilemma

Perception is the single biggest factor for people buying a home/ property. A home / property will sell for what the buyer is willing to pay based on what they perceive the property to be worth. As first impressions are everything, it’s crucial to set a price in a range most buyers will consider attractive and fair.

Many Sellers look at what other properties in their area are listed for and think, “Our home/property is better than those”. They then feel the need to value their property higher than those they see currently on the market. Considering most properties don’t sell for the original asking price, many Sellers don’t realize that their thinking might lead them to making costly mistakes. Factors like; how many days a property has been on the market, the size of competing inventory, and the status of market momentum, all effect the likelihood that a home will sell for its highest value in a reasonable time frame.

You see, the longer a home sits on the market the less perceived value it has. Realtors, knowing that a home has been on the market for a long time will encourage their clients to submit a low offer. The longer this process goes on, the more likely the property will sell bellow it’s market potential.

Property vales and inventory levels constantly fluctuate in every market. As the number of properties on the market grows, the longer it takes to sell properties as buyers have many choices. With more properties to chose frm, the greater the need becomes to price a home attractively. Otherwise, Realtors won’t show the home to their Buyers if they feel it is over priced. A custom fit with the market ensures the home will sell for maximum profit and in a reasonable amount of time.

Attraction Factor

Since over 90% of all properties are purchased with the help of a Realtor, we have to attract them first. Properly priced properties attract the attention of Realtors who in turn relate the value to their buying public. On the other hand, properties priced outside what is considered realistic, repels agents and their clients.

Here’s how it works; after the flurry of activity surrounding a new listing slows down, Realtors and their clients begin to take a serious look at related properties and compare. If they perceive the property to be priced incorrectly, showing activity will tend to fall off. You’ve got once chance at it because Realtors will just not do repeat showings. Offers will not be forth coming. These are all signs that something isn’t right.

Holding out for the highest possible price often results in one of two things; either the home sits on the market and ends up selling for significantly less than the asking price or the listing expires sending a wave of opportunity seekers with low offers.

“…No amount of advertising or open houses will get a buyer to act if they perceive a home’s price to be out of the ballpark…”

What The Numbers Mean

In pricing your home, it is important to examine the current list to sell price ratio for your area. This ratio reflects the difference between the prices the properties were originally listed for and their actual selling price. If homes are generally listed on the high side, there will be a bigger discount to the asking price and the days on the market will be high.

It is also crucial to determine the momentum in your area – how many homes/properties are currently on the market and how many have sold recently? Strategically, a motivated seller should price their home/property attractively, relative to how the market is priced.

Insiders Get The Transaction Moving

The local Realtor group is the biggest audience a seller needs to cater to. In our area, the bulk of sales are “co-brokered”. That is, sales are conducted between different agents and agencies. This makes it imperative for a Realtor to be networked with other Realtors. As most buyers will come through our Realtor network, it is our task to ensure there are compelling advantages for Realtors with buyer clients to take a serious look. We have to convince them that your home is properly priced and worth their time to preview, show, and sell to the buyers.

Properly priced homes/properties sell more quickly
and closer to their asking prices than overpriced ones!

Dear Friends,

We are off to a new year and a new decade with cautious optimism about Santa Fe’s real estate market. Somewhat like the January thaw the past few weeks, our market is showing signs of stability which leads us to believe 2010 will stronger than 2009.

Yes, 2009 proved challenging for Santa Fe sellers as sales volume plunged and sales prices dropped in the neighborhood of 20% +/- depending on location and property type. Discouraging as these trends have been we are happy to report that there are now signs of the market stabilizing:

• Just in the first two weeks in January there have been 42 residential closings compared to last year’s 26 for the same time period.

• Absorption rates (# of months to sell inventory) has declined from its peak in August 2009 and inventory has declined as well. While still far from a balanced market which is thought to be a 6-7 month supply, the average absorption rate for all residential real estate stood at 18.31 months as of 12/31/09. It is important to note, however, that months to absorb inventory varies by price range with the higher prices ranges taking more time to sell.

The following tables show us that large inventories are still favoring buyers:

Below are snapshots of two popular areas that compare 2008 with 2009. In general, properties further out in the county have dropped in price more than those in the heart of downtown.

Unlike the residential market, land sales still remain dismal relative to supply. Builders are no longer purchasing land for spec homes and potential land buyers are finding that they can buy high quality existing homes for less than they could buy land and build. With such inventory overload, it will most likely take years for this market segment to come into balance.

So, with cautious optimism we see 2010 bringing in a more balanced residential market. Buyers still have a great opportunity to purchase homes at tremendous values in a low interest rate environment. Sellers should be seeing an end to their price deterioration and, if relocating, sellers can reinvest at the same attractive levels. The Fed’s extension of its $8,000 first time home buyer credit will continue to nudge the market along as will the creation for the new $6,500 credit for buyers of second and/or vacation homes.

Do we expect gangbuster activity? No, we don’t, yet, after the challenges of 2009, we expect Santa Fe’s charms and attraction will continue steer our market towards a balanced state.

We wish you the best as this new decade gets underway. As always, please consider us a go to resource for questions or concerns you may have!